PURCHASING CARD TRAINING GUIDE

Transcription

1 PURCHASING CARD TRAINING GUIDE U.S. Bank VISA Introduction Welcome to the Dixie State University Purchasing Card Program. This program has been designed to allow for the direct procurement of low-cost products and services, and access to electronic commerce merchants through the use of a purchasing credit card, or PCard. Our intent is to drastically reduce the use of open purchase orders and mini purchase orders. For you, the cardholder, using the card will provide easy placement of your orders, greater flexibility in ordering, and reduced paperwork processing. The purchasing card concept is designed to delegate the authority and capability to purchase these low-cost items directly to the person to whom it matters most you, the cardholder. Any merchant which accepts a VISA card will accept the DSU PCard. The PCard may be used for orders placed in person, by phone and online. If a merchant declines the card for any reason or does not take VISA, contact the Purchasing Services Department for assistance. Overview The PCard is not normally used for travel expenses. However, it may be possible to obtain permission for travel expense privileges. This Guide provides training for travel use. Although the PCard has many built-in controls, there are certain steps that you as the cardholder must take to ensure the responsible use of University funds. You should first become familiar with standard purchasing policies at DSU. You must keep in mind that DSU is a publicly funded University and that we, as its employees, have a duty to be certain that its resources are spent in a responsible manner. Your PCard will be audited on a regular basis to ensure that procedures are followed. The card is a privilege granted to you by Dixie State University, and it is expected that you will use it responsibly. Improper use of the card will result in revocation of this privilege and possible disciplinary action, including termination and criminal charges, when appropriate. All the forms for the PCard are available online at purchasing.dixie.edu under Forms, Links, and Training Materials on the left. 1

2 Procedure for Obtaining a PCard The first step is reading this document or attending a live training on PCard use. You will then take a quiz to ensure you understand the program rules. The links are provided in this Guide. When you have successfully completed your quiz, Purchasing Services will be able to process your application for a PCard. The second step is to fill out the Purchasing Card Application Form and the Purchasing Cardholder s Agreement Form, both of which are available on our website, purchasing.dixie.edu under Forms, Links and Training Materials. The PCard is available to any faculty or staff member at DSU (and rarely students) with the approval of the employee s supervisor and appropriate budget administrator. After carefully reading and completing the forms, have your supervisor approve the Application Form, and return both to the Purchasing Services Department. The Application Form requires that you provide your Dixie ID number. This number is used for security and identification purposes and is required by US Bank. When you receive your card, you will call the bank to have the card activated. Use the last four digits of your Dixie ID when you are asked for the last four digits of your social security number during the activation process. We have protected your privacy by not giving the bank your Social Security number. The Purchasing Cardholder s Agreement form is a legal document which should be read carefully before it is signed. It outlines the consequences of improper use of the card and permits payroll deduction in cases of improper use Your card will be sent to the DSU Purchasing Services Department by US Bank, and you will be requested to pick it up when it arrives on campus. The PCard does not affect your personal credit history. Statements will be paid directly by DSU Accounts Payable. The following may be contacted regarding obtaining the Card: Purchasing Card Administrator Director of Purchasing Services Tamara Gentry Jackie Freeman Limits Each card will have a single transaction limit and a monthly cycle spending limit. The standard limits will be $1,000 per transaction and $5,000 for each 30-day cycle. Any requests for monthly cycle spending or single transaction limits above the standards will require approval of the Director of Purchasing Services as well as the appropriate budget administrator. Guidelines for Card Use Please use your purchasing card for any allowable purchase relating to Dixie State business. Purchasing Services will return requisitions to the departments when a PCard 2

3 should have been used to place an order. The use of open purchase orders has been drastically reduced. You will be assigned a PCard Coordinator when you are given a PCard (usually a department administrative assistant) who will be the person you submit all paperwork to at the appropriate times as outlined in this training. PCard transactions may not exceed the single transaction limit for your card. Transactions which are higher will be denied at the point of sale (remember that shipping or handling charges may apply). It is not permissible to make multiple charges in the same day to the same merchant in order to facilitate a purchase that exceeds your approved transaction limit. Multiple charges to a single merchant in a single day, when combined, which exceed the single transaction limit, are prohibited. There are no daily or weekly maximums per se, just the transaction and cycle limits. The State of Utah Procurement Code prohibits order splitting. Penalties include criminal charges. If you need to buy something that is more than your transaction limit, contact Purchasing Services. It may be possible to raise your limits in some instances, or it may be necessary for the department to submit a Purchase Requisition to request the creation a purchase order. All purchases must be made in compliance with University policies. (Refer to Policies 221 University Procurement, 222 Purchasing Cards, 223 Travel, Meals, Entertainment and Relocation and 224 International Travel.) Use of the card for personal purchases is strictly prohibited. Should this happen unintentionally, contact Purchasing Services immediately. Our billing cycle ends on the 7 th day of every month. You will have your entire credit line available again on the 8 th of the month. DSU is tax exempt. Our sales tax exemption number is printed on the face of the PCard just below your name ( STC). It is the cardholder s responsibility to ensure that tax is not charged. If you are charged tax, contact the merchant and request a credit for that amount. When your card is audited, you will be penalized for paying sales tax. As you place an order, inform the merchant that the transaction must be tax exempt. If the merchant requires proof of tax exemption, Purchasing Services will provide a an official taxexempt form, or you may provide it to the merchant by sending a link to the form found at purchasing.dixie.edu under Forms, Links and Training Materials. It is important when placing an order being shipped to the University that the merchant places your name on the shipping documents and especially on the outside of the box. If a contact name does not appear, chances are good that you will not receive your purchase. Only the authorized cardholder may use the card. Your VISA should be used in a responsible manner and should be used only for those purchases that are in the best interest of the University. Your department may require that you have your purchases pre-approved by the budget administrator. Please check to find out if your department requires pre-approvals before using the card. One person must be responsible for the paperwork for a card. If sharing occurs, the cardholder may be disciplined or terminated because of the irresponsibility of another. Anyone who needs to use a PCard needs one of his or her own. The security of the PCard is the 3

4 responsibility of the cardholder, and that person is solely responsible for all transactions on the card. The PCard must be kept on the cardholder s person or in a secure place at all times. The following items may not be purchased with the card: Personal purchases of any kind* Gifts and gift cards, rewards Computers, including laptops and desktops ipads and other tablets Cell phones and cell phone equipment ipods (or similar MP3 players) Items with DSU logo or verbiage Travel-related expenditures such as conference fees, airfare, motels, rental cars, etc. unless you have been approved to have travel privileges on your card. Please see Page 6 of this Guide for more information on cards with travel privileges. *Under no circumstance are cardholders allowed to purchase personal items with the PCard. Disciplinary action, including possible termination and possible criminal charges, will result if you use the card for personal items. Call Purchasing Services to rectify an accidental personal purchase. General Cardholder Instructions Your DSU PCard may be used for telephone orders, online orders, and purchases you make in person at a business which accepts VISA. The University has restricted your access to some kinds of merchants, however, based on their Merchant Category Code. Merchants Category Codes are four-digit numbers used to classify a business by the type of goods or services it provides. The codes reflect the primary category in which the merchant does business (e.g. hotels, office supply store, jewelry store, automobile repair shop). However, this is not a perfect science. Walmart, for example, could be considered a grocery store, tire store, optical store, toy store, clothing store and pharmacy to name a few. If your purchase is declined, this may be the problem. Purchasing Services is able to allow you to purchase from a blocked merchant easily, if required. Contact us if you have a problem. Reconciliation and Accounting Each card will have a default index code that you and your budget administrator choose when applying for the card. Your Coordinator will use your receipts to enter a description (in Banner) of the business purpose for the purchase and will assign an account code (supplies, equipment, books, etc.) If this is not processed weekly, it will be necessary to fill out the Reallocation of Purchasing Card Expense form and send it to Purchasing Services as soon as possible. Please talk with your Coordinator to see how (s)he is handling receipts. It is possible for your coordinator to change the default index code for a purchase to another index with the written approval of the appropriate budget administrator. All purchases must be supported by an original itemized receipt. An itemized receipt shows each item you purchased and the price of each item. Should a receipt be missing, contact the merchant 4

5 to receive a duplicate copy. If this is not possible, complete and submit the Missing Receipt Form. There is a penalty for missing receipts in an audit. Receipts are to be forwarded to your PCard Coordinator on a weekly basis. You will also be required to send your statement (which must be reviewed and signed by your budget administrator) to your PCard Coordinator each month, no later than the 25 th of the month. Your statement should arrive around the 15th 18 th of the month. (If you have not used your card, you will not get a statement.) Your receipts and statement are to be submitted to your budget administrator for review and approval. All charges and credits on the statement must be verified by the cardholder to be correct. Once verified, the cardholder will sign the statement and obtain the budget administrator s signature on the statement. If you are a budget administrator, your PCard statement must be signed by your supervisor. When placing an order with your PCard, please remind the merchant that DSU is tax exempt (the number, STC, is on the face of your card just below your name) and that you must have an itemized receipt. If your purchase is to be shipped, make sure you give the merchant your complete campus mailing address, as well as your name, which must be on the outside of the package. If your name is not on the outside of the package, you may not receive your order. Do not have PCard purchases shipped to a personal address. You will be responsible for ensuring receipt of products and any follow-up efforts required to resolve any delivery problems, discrepancies, damaged goods, billing problems, or returns. If you need to return an item, contact the merchant to inquire about the return policy and procedures. Your Coordinator should not perform these tasks. Should your card be declined and you would like an explanation, please call Customer Service at US Bank or call DSU Purchasing Services. Your signed statement and the original receipts must be in the possession of your PCard Coordinator no later than the 25th of each month. Your Coordinator will hold all paperwork until the file is audited and/or archived. Should there be incorrect charges on your statement, you will be responsible to contact the merchant to try to resolve the problem. If this does not work, you will need to file a dispute form with US Bank within 60 days from the date of the statement on which the charge appeared. Contact Purchasing Services for more information on filing a dispute and to receive a Cardholder Dispute Form. Make sure your PCard Coordinator receives a copy of the completed dispute form for your PCard file, and that you attach the completed dispute form to the statement that shows the adjustment should there be one. Audits Statements, receipts and other documentation will be kept in departments across campus with the PCard Coordinators. The Dixie State Internal Audit Department will conduct frequent audits of the documentation to ensure that all paperwork is complete and all procedures are being followed. Audits may be conducted at any time without advance notice. Infractions may result in revocation of the card and disciplinary action, including possible termination. There is a point system for 5

6 violations. Your card will be temporarily or permanently turned off if you exceed allowable violation points. The Violation Point System document is available under Forms, Links, and Training Materials at purchasing.dixie.edu. Who to Contact with Questions: Call Customer Service: to: Activate the PCard Report a lost or stolen PCard (Contact Purchasing Serves as well) Report fraudulent activity Request a duplicate statement (Purchasing Services may also provide) Request a legal name change Call Purchasing Services at extension 7612 or 7613 to: Report a lost or stolen PCard (after contacting U.S. Bank) Request a duplicate statement (or U.S. Bank) Report fraudulent activity (after contacting U.S. Bank) File a dispute Obtain information on a declined transaction Call you PCard Coordinator to: Report a lost or stolen card (after contacting U.S. Bank) Report fraudulent activity (after contacting U.S. Bank) Card Expiration and Employment Termination DSU should automatically receive a new card prior to the expiration date of your old one. Call Purchasing Services to check on your new card if you haven t been called two weeks before it expires. Please return your old card when you receive your new one. It will be necessary to be retrained and re-take a quiz prior to receiving your new card, as the program changes from time to time. Upon leaving the University, you will be required to return your PCard to the Purchasing Services Department as it is University property. Employees who leave one department to work in another must return their card to Purchasing Services and submit a new application signed by their new budget administrator. If you are not applying for a card with travel privileges, please click here to take the quiz. Purchasing Services will receive notification when you have passed the quiz. Then you may submit your Purchasing Card Application Form. Be sure to indicate on the form that you are not asking for travel expense privileges. Additional Information and Training for PCards with Travel Privileges The PCard with travel privileges is voluntary, not mandatory for most people. If you would rather use your own credit card for your travel on DSU business, that s OK. 6

7 If a cardholder chooses to have a PCard open for travel expenses, he/she agrees that personal credits cards will not be used for University travel at any time. This is to help us avoid duplicate payments. To apply for a first-time PCard with travel privileges, complete this training, pass the required quiz and then complete the Purchasing Card Application Form and the Purchasing Cardholder s Agreement Form and submit to Purchasing Services. Allow 7 days for processing. If you already have a purchasing card and would like to have travel privileges, complete this training, pass the required quiz and then complete the Purchasing Card Travel Addition Form and a new Purchasing Cardholder s Agreement Form. Submit both forms to Purchasing Services so those changes can be made. Allow up to 30 days for processing. Prior to using a P-Card for travel expenses, the trip must be approved by the budget administrator(s), and the Travel Authorization should be completed and submitted to Purchasing Services. Should the budgeted trip expenses be higher than the current transaction and cycle limit, a Purchasing Card One-Time Trip Change Form must be submitted to Purchasing Services. If approved, the change will be made by Purchasing Services for the appropriate time period, and then will be returned to normal spending levels. Allow 3 days for processing. When submitting travel receipts to the P-Card coordinator each week, the cardholder must also submit a copy of the Travel Authorization for that expense. Failure to comply will result in the card being turned off until such time as the paperwork has been submitted and the appropriate budget administrator has asked that the card be reinstated. All original receipts are to be kept with the purchasing card statement with the PCard coordinator. The cardholder is also required to copy travel-related receipts and attach them to the travel claim which is submitted after the trip. Those receipts must be clearly marked as having been paid with a PCard. Allowable Travel Expenses University business travel, excluding meals. Acceptable uses include airfare, lodging, conference fees and transportation costs (taxis, rental cars, trains, shuttles, etc.) All travel must be allowable under DSU Policies 223 Travel, Meals, Entertainment, and Relocation and 224 International Travel Travel (except car rentals) from any source including online sources, a travel agency, State Travel or directly from the airline or hotel 7

8 Car rental expenses. Reservations must be made through State Travel ( ) or online through Enterprise (enterprise.com) by using code XZ47075 on the first page to ensure appropriate insurance coverage. Sales Tax on hotels/motels (including Utah). This is an exception required by law in Utah. Unallowable Travel Expenses Meals Trip or travel insurance Medical/hospital services relating to a trip Personal entertainment expenses, including transportation to and from the location Bellhop services and valet parking (unless it is required by the hotel) Hotel incidentals such as room service, mini-bar usage, movies, etc. Cost of damage to rental vehicles rented from a company which does not have a State Contract Costs incurred for dates before or after the dates on the Travel Authorization. Fuel for a personal or fleet vehicle Unauthorized upgrades for airfare/hotels unless there is a medical need or other accommodation which has been previously approved in writing by Human Resources or a Vice President International Travel PCards may be used for international travel. All policies and procedures outlined for International Travel, including Study Abroad, must be followed prior to using the P-Card for international travel expenses. This includes approval by the appropriate Vice President and the President of the University. Contact U.S. Bank before traveling abroad to prevent unnecessary problems using your card. Purchasing Card Contacts: Purchasing Card Administrator Tamara Gentry Director of Purchasing Services Jackie Freeman U.S. Bank Customer Service Number 24 hours a day at (800) Click here to take the quiz for PCards with travel privileges. Purchasing Services will receive notification when you have passed the quiz. Then you may submit your Purchasing Card Application Form (or the Purchasing Card Travel Addition Form if you already have a PCard). Be sure to indicate on the Application form that you are asking for travel expense privileges. Revised June